(May 27, 2005)

Q In the President's conversations with President
Abbas, what did he say to him about
the need or what he needs to do to dismantle
terror groups?

MR. McCLELLAN: Well, I think you essentially
heard from the President earlier today. The
road map spells our specific obligations
for parties to take. And all parties need
to meet their obligations. The President
specifically talked about that in his opening
remarks, and he also talked about President
Abbas and his commitment to democracy and
peace. He has spoken out strongly against
terrorism and spoken out in favor of ending
violence aimed at Israelis. And it's important
for the Palestinian leadership, under President
Abbas, to continue moving forward and meeting
their obligations under the road map.

Q So is the President satisfied that President
Abbas is moving aggressively enough, or does
he think that he is not?

MR. McCLELLAN: He appreciates his commitment
and his leadership, and we urge all parties
to continue moving forward. There is more
to be done. There is more to be done to meet
their obligations under the road map. We
need to keep our focus on the Gaza disengagement
plan right now. That needs to be successful
so that we can lay -- that will help lay
the groundwork to get back on the road map.

But President Abbas has taken steps. He's
begun reforming the security apparatus. That's
one of the reasons we sent General Ward to
the region, was to work with the Palestinian
leadership and reform the security structure
and consolidate it so that it is better able
to meet the security needs of the Palestinian
people. And the President spoke earlier today
about armed groups operating outside of the
government structure. You can't have that
in a democracy. And the President talked
about that in response to your question earlier
today.

Q So it's fair to say that the President
thinks he's taken some good steps, but he
needs to do more?

MR. McCLELLAN: He's begun some steps, and
there's more to be done to follow through
on the steps that he has taken. The road
map specifically says that terrorist organizations
need to be dismantled. The road map also
calls on Israel to take steps. And both parties
need to meet their obligations. The international
community needs to meet their obligations.
The Arab states need to meet their obligations,
as well.

Q One final question. Is it the United
States ' understanding that under the road
map, that Israel would withdraw to the '67
boundaries? Is that --

MR. McCLELLAN: The road map spells out
what the obligations are. In terms of final
status issues, the President talked about
that in his remarks today, as well. And that's
to be mutually worked between the parties,
in terms of final status issues.

But right now we need to keep the focus
on Prime Minister Sharon's Gaza disengagement
plan, and it's disengagement from parts of
the West Bank . It's critical that we get
that right, and I think you heard from President
Abbas earlier today saying that we are ready
to coordinate with Israel on that disengagement.
It's critical that we support the Palestinian
people as they move forward to put the institutions
in place for a democracy to emerge in those
Palestinian territories. And that's why the
President expressed our confidence in the
leadership by signaling that we're going
to provide $50 million in funds to go to
specific projects that will help improve
the livelihood of people in those territories.

Q Scott, would the President like to see
Abbas take on Hamas directly and shut it
down? Or does he understand the political
sensitivities that Abbas faces in doing that?

MR. McCLELLAN: Again, I mean, the road
map has specific obligations for all parties.
You heard from the President today. They
had a very good discussion about these issues.
They talked about these issues. They talked
about the importance of continuing --

Q But --

MR. McCLELLAN: -- no, John, let me finish
-- they talked about the importance of continuing
to move forward on the steps under the road
map and meeting their obligations. One of
those obligations is dismantling terrorist
organizations.

Q So he wants to see him take on Hamas,
then, and shut it down.

MR. McCLELLAN: Well, John, he has taken
some steps to address these issues. He has
made a strong commitment to ending violence
against Israelis or ending attacks against
Israelis. He has spoken out against terrorism,
and he is someone who is committed to democracy
and peace. And to get to democracy and peace,
you have to take those steps, as well.

Q Scott, on the security fence,
does the President believe that it's being
used for security reasons or for political
reasons?

MR. McCLELLAN: Well, the President said
that it must be for security purposes, not
for political --

Q What does he think --

MR. McCLELLAN: -- not as a political barrier,
and that's what the President spelled out.
And we've expressed those views to the Israeli
government, as well, and we have discussions
with them about that, as well, and I think
you've seen them taking some steps to take
into account the need for the Palestinian
people to be able to move about more freely,
as well. They've taken some steps to --

Q You're not answering the question. What
does the President believe it's being used
for?

MR. McCLELLAN: No, they've taken some steps
to address that, and --

Q It was a very artful construction, to
say if you're trying to impose a boundary,
then that's wrong, that would be a political
--

MR. McCLELLAN: No, I appreciate that, but
we're consulting directly with the parties
and working with them --

Q I said what does the President believe
it's being used for?

MR. McCLELLAN: -- and we're making our
views known directly with the parties. The
President has said it publicly; he's said
it in private, as well, and we'll continue
to talk with the Israeli government about
those issues as we move forward. And that's
why --

Q You won't answer whether he thinks it's
being used for political purposes, or --

MR. McCLELLAN: I think I would leave it
where the President left it.

Q Which is nowhere. He just said -- Scott,
I mean, he said it should be used for security
reasons, not for political reasons, so I'm
wondering what does he think it's being used
for?

MR. McCLELLAN: David, we've got a real
opportunity before us to move forward to
the two-state vision --

Q He doesn't have an opinion on the fence?

MR. McCLELLAN: -- and as he made it clear,
it needs to take into account the impact
it has on Palestinians that are not engaged
in terrorist activities. That's what he said
in his remarks. And as we make progress,
Israel needs to continue to take that into
account.

Q I want to follow up in a different area.
You talk about the importance of two things:
one, returning to the road map; and also,
focusing on Gaza . But doesn't President
Abbas have a pretty good point here when
he says you want to focus on removing settlers,
a relatively small number of settlers --
8,000 settlers from Gaza -- and yet, the
Israelis are building up these close-in
settlements to Jerusalem , like Ma'aleh
Adumim, at a pretty good clip, which would
totally prejudice final status negotiations.

MR. McCLELLAN: The President said that
shouldn't happen.

Q So isn't it disingenuous --

MR. McCLELLAN: Not at all.

Q So this administration is going to stay
focused on Gaza and not worry about the other?

MR. McCLELLAN: Not at all, David. In fact,
the President has spoken directly with Prime
Minister Sharon about these issues, too.
And you heard him talk about it with him
when he stood next to him in Crawford, as
well.

Q Sharon just keeps on doing what the President
says not to.

MR. McCLELLAN: He talked about it with
him in Crawford, as well. And what the Gaza
disengagement plan is, it's a very bold step.
It's an opportunity to jump start the road
map again. But we've got to get it right
in Gaza in order to get back to the road
map. This is happening now. This is a very
great opportunity before the parties to move
forward on the President's two-state vision.

Now, in terms of the road map, we've made
our views very clear that parties have obligations
they need to meet under that road map, and
we expect parties to meet those obligations.
But we must make sure that it's successful
-

Q The Israelis aren't, in terms of settlements.

MR. McCLELLAN: -- we must make sure it's
successful when it comes to the Gaza disengagement,
as well. And we're going to continue speaking
with the parties and consulting with them
and working with them and supporting the
Palestinian Authority as they move forward.
We are making progress. This is a difficult
task, as the President talked about. There
are difficult things that have to be done,
and the President talked about that with
President Abbas, he's talked about it with
Prime Minister Sharon. But we will be there
to support the parties as they move forward
to make those hard decisions and take those
difficult steps. If this -- there's a long
history here, and we think the best way to
approach this is to continue working with
the parties, continue pushing them to follow
through on their commitments. And that's
exactly what we're doing.

MR. McCLELLAN: The $50 million comes from
2005 funding that had previously been passed
by Congress. In terms of how it works, this
will be money set aside in a separate, special
account. And it will go to specific projects
-- projects that are agreed to between the
United States and the Palestinian Authority.
We'll consult closely with the Palestinian
Authority about how these dollars are used.
There is an elaborate process in place to
track the money throughout that process,
so the money will be tracked to make sure
it's going to those specific projects it's
intended for.

This money will be going to projects like
housing and schools. And one thing that the
Palestinians talked about over lunch with
the President was they need more schools.
It'll go to projects like road building.
It'll go to projects like health clinics,
putting in place some of those basic services
that the people need in those territories,
and the Gaza area. This is directed toward
Gaza . And it's a sign that we have confidence
in the leadership as they move forward.

Q And in what sense did the talks today
bring us closer to resuming the road map
talks?

MR. McCLELLAN: Well, that's why you heard
the President emphasize the importance of
making sure that we're successful in Gaza
and successful as Prime Minister Sharon moves
forward on the disengagement plan. That will,
as the President said, lay the ground work
to get moving again on the road map.

Go ahead.

Q You said there's a long history, but
there has been a history here of Sharon defying
President Bush by expanding these settlements.
Is the President frustrated that he continues
to build these settlements, despite the U.S.
' clearly stating policy on that?

MR. McCLELLAN: I appreciate you all trying
to continue to engage us in this, but the
President's views could not be clearer, and
those are views he expressed both publicly
and privately, and those are views we continue
to make known to the parties. All parties
have obligations, and we expect them to meet
their obligations. There are obligations
that the Palestinians need to meet; there
are obligations that the Israelis need to
meet. And both parties need to do more to
meet those obligations.

Q When Abbas says that time is the enemy,
does this not concern the President that
there is no momentum on this?

MR. McCLELLAN: Oh, there is momentum. The
momentum is the Gaza disengagement plan and
the opportunity that that presents for us.
There is momentum because we have a democratically-elected
leader in President Abbas who is committed
to democracy and peace, so I reject that
characterization outright.

Go ahead, Sara.

Q Thank you. Scott, The Post today say
that Syria is being cooperative by turning
back would-be fighters who wanted to go to
Iraq . Are U.S. relations
with Syria improving?

MR. McCLELLAN: There are many concerns
that we continue to have about Syria , and
our expectations have been made known when
it comes to -- when it comes to Syria and
the actions that they should be taking, or
that they're expected to take. They have
been out of step with the direction the rest
of the Middle East is headed. And we've expressed
our concerns about their continued support
for terrorists, terrorists who operate in
places like Lebanon and other parts of the
Middle East , like the Israeli-Palestinian
areas.

And we have concerns about Syria 's allowing
terrorists operating inside their territory
that are carrying out attacks inside Iraq
. We've had concerns about what they have
been doing along the border, or their lack
of taking action along the border. And it's
important that they address those issues.
That's the way that they will realize better
relations with the rest of the international
community.

Go ahead, Carl.

Q Scott, related to the 1967 borders, as
well as the expansion of settlements,
when Prime Minister Sharon was in Crawford,
did not the President signal to Sharon and
the world that there had to be a recognition
that the situation has -- has, in many ways,
changed and that there would not be a return
to the '67 borders, and that at some level,
a settlement expansion had to be understood
as part of the evolution of time?

MR. McCLELLAN: The President back -- that
was back here at the White House over a year
ago, and the President made our views known,
that you have to take into account some of
the realities of the situation on the ground.
But final status issues are to be negotiated
and mutually agreed to between the parties,
but we've got to keep our focus on where
we are now. This is a process that is going
to be done in a step-by-step way, and we
have a real opportunity before us with the
Gaza disengagement plan to move forward on
the President's two-state vision. We shouldn't
lose sight of where we are right now and
what we need to accomplish now. And there
will be -- there will be an opportunity to
discuss those final status issues when we
get there.

Go ahead.

Q Besides schools, can you give us specific
run-down on what was covered in the working
lunch?

MR. McCLELLAN: Let's see they talked about
-- they spent a good bit of time talking
about the Gaza disengagement and the preparations
for that. The President wanted to, I think,
hear President Abbas's views on what they
are doing and what help they need. And that's
-- they got into a discussion there about
schools and things of that nature.

They spent a good bit of time talking about
the security forces. General Ward provided
an update from his standpoint in terms of
how the security reforms are moving forward
and what remains to be done. And we heard
from President Abbas on those issues, as
well. They talked about elections, as well
as really those areas. I think they spent
a good -- most of the time on the Gaza disengagement
and security forces, and some time on elections,
and there are a few other issues that they
discussed within that, as well.